Mercurity Fintech Holding Inc. (MFH) (Nasdaq: MFH) announced a term sheet agreement with a high-tech firm specializing in precision metal parts for electric vehicles and smart devices. This collaboration will establish a joint venture (JV) in Hong Kong focused on AI hardware intelligent manufacturing and advanced cooling solutions for AI servers.
The term sheet outlines preliminary terms, pending definitive agreements which will contain standard representations, warranties, and indemnities.
Key Joint Venture Highlights:
AI Hardware Intelligent Manufacturing Expansion: The JV will manufacture precision components for leading AI server and technology companies in artificial intelligence, autonomous vehicles, and wearables. This aligns with Mercurity Fintech’s strategy to diversify into the burgeoning AI hardware manufacturing sector.
Strategic Cooling Solutions: The JV will explore advanced cooling solutions crucial for next-generation AI servers. The JV partner’s collaboration with a leading AI server company, including recent liquid cooling sample requests, demonstrates its expertise.
Capital and Structure: Mercurity Fintech will invest $9.8 million, securing a 51% stake, reflecting both parties’ confidence in the venture’s potential.
Global Reach and Manufacturing: The JV plans to create a manufacturing hub for efficient global delivery of high-quality products.
Enhanced Product Portfolio: Beyond liquid cooling, the JV will produce sub-assemblies and precision parts for AI, automotive, and wearable technologies, expanding its product offerings.
The JV will leverage its partner’s relationship with a world-leading AI server company to address the growing need for efficient cooling in advanced AI servers. Combining MFH’s international marketing and technological innovation, the JV will capitalize on growth opportunities within AI, automotive, and wearable technology markets. Its commitment to research and development will ensure innovative, high-quality solutions.
Shi Qiu, Mercurity Fintech’s CEO, stated:
“This partnership marks a significant step for Mercurity Fintech as we enter the thriving AI hardware manufacturing sector. Combining our partner’s precision engineering expertise with Mercurity Fintech’s technological and operational capabilities, we will offer a unique value proposition. Our JV partner’s collaboration with a leading AI server company highlights this venture’s significant potential and our shared commitment to innovation.”
About Mercurity Fintech Holding Inc.
Mercurity Fintech Holding Inc. is a digital fintech company with subsidiaries offering distributed computing and digital consultation across North America and Asia-Pacific. We focus on providing innovative financial solutions while upholding compliance, professionalism, and operational efficiency. We aim to contribute to digital finance evolution by providing secure, innovative services and maintaining a commitment to compliance, professionalism, and operational excellence.
Forward-Looking Statements
This announcement contains forward-looking statements under the Private Securities Litigation Reform Act of 1995. Statements beyond historical facts are forward-looking, subject to known and unknown risks and based on current expectations and projections. Forward-looking statements can be identified by words like “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “potential,” “continue,” “is/are likely to,” and similar expressions. The Company does not undertake to update forward-looking statements, except as required by law. While the Company believes its expectations are reasonable, actual results may differ materially.
For more information, please contact:
International Elite Capital Inc.
Vicky Chueng
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